Tesla stock slips after Elon Musk reveals vehicle maker's cash crunch

Source Pixabay  Blomst

Source Pixabay Blomst

Musk, Tesla's chief executive officer, wrote in an email to staff late Thursday that he and new Chief Financial Officer Zachary Kirkhorn will review "literally every payment" that leaves the company's coffers to confirm that expenditures are critical. Financially, the EV maker was looking a little battered and to kick-start some growth and development, Tesla raised a massive pile of cash - $2.7 billion, to be exact.

Besides, the document revealing Tesla's export of its solar panel had been highlighting the grievous troubles, the company had been enduring over the past few years. "It raises a lot of red flags".

Tesla saw negative price action on May 16 after the National Transportation Safety Board said in its preliminary investigation that Tesla's autopilot feature had been in use in last year's fatal crash of a Tesla Model 3 in Delray Beach, Florida.

The NTSB says the Autopilot feature was active around 10 seconds before the collision, and that the driver's hands were not detected on the steering wheel for the eight seconds prior to the collusion. The crash sheared off the roof as the Tesla traveled under the semitrailer. The first of these came in 2016 when Joshua Brown was killed in his Model S after it collided with a semi-trailer truck.

"We are deeply saddened by this accident and our thoughts are with everyone affected by this tragedy".

The company added that "Tesla drivers have logged more than one billion miles with Autopilot engaged, and our data shows that, when used properly by an attentive driver who is prepared to take control at all times, drivers supported by Autopilot are safer than those operating without assistance".

The NTSB's report comes just a week after a porn star made waves for posting a video of herself having sex with her boyfriend in the front seat of a Tesla driving on Autopilot.

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